#United States #Canadian Solar #Recurrent Energy #Fort Duncan #Maverick County

Recurrent Energy Secures $183 Million for Fort Duncan Storage Project

Recurrent Energy, a prominent subsidiary of Canadian Solar Inc., has just finalized a significant financial deal to advance its Fort Duncan Storage project in Texas. This ambitious initiative, currently under construction in Maverick County, is set to feature a storage capacity of 200 MWh and is aimed at bolstering the reliability of the Texas energy grid, particularly during peak demand periods. The project is expected to be operational by the summer of 2025.

The financing arrangement totals $183 million, which includes $112 million led by Nord/LB, comprising a construction loan, a tax equity bridge loan, and a letter of credit facility. Additionally, Recurrent Energy has entered into a tax equity partnership worth $71 million with Greenprint Capital. The involvement of these financial entities underscores the growing interest and investment in renewable energy infrastructure.

According to Ismael Guerrero, CEO of Recurrent Energy, as Texas continues to experience an unprecedented surge in energy generation driven by both economic growth and advancements in artificial intelligence, infrastructure projects like Fort Duncan Storage play a crucial role. He expresses gratitude towards Nord/LB and Greenprint Capital, emphasizing how such collaborations enhance the reliability and resilience of the Texas grid while promoting low-cost renewable energy solutions.

Sondra Martinez, Managing Director at Nord/LB, echoed these sentiments, highlighting the strong relationship between her firm and Recurrent Energy. She noted that this transaction showcases their commitment to working together to develop creative financing methods that support the clean energy transition. Their collaboration is built upon shared values and a long-standing partnership that aims to deliver impactful results in the renewable energy sector.

Peter DeFazio, Managing Partner at Greenprint Capital, praised the project for exemplifying how strategic investments in clean energy can significantly enhance grid reliability while also yielding robust financial returns. DeFazio indicated that the tax equity utilized in this project is pivotal for enabling innovative energy solutions designed to create a more resilient ERCOT grid. He expressed pride in collaborating with Recurrent Energy on this landmark project, reinforcing their shared dedication to accelerating the clean energy transition through high-impact investments.

Fort Duncan Storage will operate on a merchant basis, which means it will store and dispatch energy to the ERCOT grid as per market demands. Remarkably, the electricity stored and released in a two-hour cycle from this project could provide power to approximately 66,100 households. Recurrent Energy's management of this facility is also expected to generate significant tax revenues for local community services, highlighting its community impact beyond just energy provision.

The energy storage systems for Fort Duncan will be supplied by e-STORAGE. The project is under construction thanks to Burns & McDonnell, employing around 75 workers at its peak construction period, thus also contributing to local job creation.

Recurrent Energy continues to establish itself as a leader in the renewable energy sector, having developed and connected an impressive array of solar and energy storage projects globally. With a project development pipeline of over 27 GWp of solar and 68 GWh of energy storage capacity, Recurrent Energy not only plays a pivotal role in enhancing grid reliability but also caters to the increasing demand for sustainable energy solutions on a global scale.

About Recurrent Energy

Recurrent Energy is recognized as one of the largest utility-scale solar energy project developers globally, committed to delivering innovative energy solutions. With a diverse portfolio of completed projects and a skilled team of energy experts, they aim to transform the energy landscape through sustainable practices and advanced technology. As a part of Canadian Solar Inc., they are at the forefront of the industry, contributing to the transition towards a clean energy future.

About Canadian Solar Inc.

Founded in 2001, Canadian Solar is a leading player in the solar technology industry, delivering comprehensive solar energy solutions. The company has made substantial contributions to the global energy market, with a strong focus on sustainability and innovation. Canadian Solar's success is evident through its extensive shipment of photovoltaic modules and the development of numerous renewable energy projects worldwide.

With initiatives like the Fort Duncan Storage project, Recurrent Energy is set to significantly advance the energy landscape in Texas while promoting economic growth and renewable energy adoption.